The Massachusetts Gaming Commission has begun a new investigation into the use of artificial intelligence by the state’s licensed sports betting operators, following a report of DraftKings using AI to target losing gamblers.
Jordan Maynard – Chairman of the Massachusetts Gaming Commission – tasked staff members with evaluating the use of AI and machine learning in sports betting. Maynard also requested Executive Director Dean Serpa engage with DraftKings to better understand the allegations presented against the operator.
“These technologies are evolving rapidly across our society, and we share the concern over their application,” Maynard said during a Commission meeting on September 24.
“I also want Serpa to see how all operators are using these technologies today. Any further action or policy making can then be determined by the commission when or if appropriate.”
On September 21, the New York Times reported that DraftKings allegedly uses AI-powered data analysis to target gamblers who are most likely to lose, having interviewed dozens of former employees.
According to the unnamed former employees, DraftKings utilizes data science to target losing gamblers with promotions such as bonuses or free bets, while efforts to identify problem gambling were stalled or dropped entirely.
Maynard confirmed the Commission has already been monitoring the use of AI in gambling through a collaboration with the University of Nevada, Las Vegas, focusing specifically on marketing, player acquisition and responsible gambling tools.
DraftKings responded to the New York Times report by stating it “rejects any implication” of unfairly targeting customers and that its promotions are based on sustained, engaged use of the platform rather than how much players lose.
As part of additional problem gambling support, the Massachusetts Gaming Commission introduced Bet on Respect on September 1, an athlete protection initiative that excludes all bettors found to have engaged in harassment from sports wagering and casino properties.
Under Bet on Respect, athletes, leagues, players associations, college athletic programs, sports venues and other parties can report suspected abuse.
Massachusetts’ casinos and licensed sportsbooks were reported to generate $149m in combined gaming revenue during August 2026 on September 22, representing a 7.4% decrease
